Suppose C = 1000 + .9Y, G = 400, I = 100, (X – IM) = 0, and there are no income taxes. The equilibrium level of national income is
a) 15,000
b) 13,500
c) 1,500
d) 5,000
e) 4,500
a) 15,000
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When, in 1811, Congress did not renew the charter of the First Bank of the United States,
a. bank note depreciation and fraud became commonplace b. most banks accepted all specie payment c. state-chartered banks declined d. Alexander Hamilton rewrote the banking-related articles of the Constitution e. Civil War was declared
The discount rate:
a. Is a weak monetary tool in the sense that central banks cannot force banks to borrow if the banks have excess reserves. b. Can have powerful announcement effects. c. Is the loan rate charged by central banks to financial intermediaries. d. All the above. e. None of the above.
Which of the following statements about agriculture in the U.S. is correct?
a. From the 1950s to today, agricultural output has approximately doubled. b. Because technological improvements increase the supply of a product for which demand is inelastic, an individual farmer would be better off not adopting the new technology. c. Increasing the supply of agricultural products typically benefits consumers but harms farmers. d. Technological improvements typically increase both supply and revenue for individual farmers.
What is the domestic price of a TV in a closed economy?
A. $100 B. $137.50 C. $125 D. $75